1. Your rich uncle has offered you two living trust payouts for the rest of your life. The positive cash flow of each trust are shown below. If your personal MARR is 10% per year, which trust should you select ΕΟΥ Trust A Trust B | 1-10 11-infinity P50,000 75,000 60,000 65,000 Note: At 10% per year interest, infinity occurs when N = 80 years

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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1. Your rich uncle has offered you two living trust payouts for the rest of your life. The positive cash flows
of each trust are shown below. If your personal MARR is 10% per year, which trust should you select?
ΕΟΥ
Trust A
Trust B
1-10
11-infinity
P50,000
75,000
60,000
65,000
Note: At 10% per year interest, infinity occurs when N = 80 years
Transcribed Image Text:1. Your rich uncle has offered you two living trust payouts for the rest of your life. The positive cash flows of each trust are shown below. If your personal MARR is 10% per year, which trust should you select? ΕΟΥ Trust A Trust B 1-10 11-infinity P50,000 75,000 60,000 65,000 Note: At 10% per year interest, infinity occurs when N = 80 years
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